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You'll find these handy on your journey to become more financially independent.
With a better understanding of common banking terms you can:
| Glossary | Definition |
|---|---|
| Account number | Your bank account's unique number. |
| Available balance | This is the money you have available to spend, taking into account any pending payments and excluding any cheques that haven't yet cleared. It also includes any arranged overdraft limit you may have agreed with your banking provider. |
| Deposit | Money paid into your account is called deposit. |
| Pending transactions | These are payments or deposits you've made – for example, with your debit card – that haven't yet been cleared or debited from your account. |
| Statement | Your bank statement shows all the transactions that have taken place over a set period of time. It also shows any interest and fees that have been added to, or deducted from, your account. |
| Total Relationship Balance (TRB) | To qualify for HSBC Premier, you must keep a minimum TRB (PDF) of SGD200,000 (or its equivalent in foreign currencies). TRB is made up of an average daily balance for the calendar month, taking into account deposits, investments and/or insurance held in the same name(s) with the Bank. |
| Transfer | This is when you send money between two accounts. You might make a transfer between two of your own accounts, for example, from an everyday bank account to a savings account. Moving money from your account to someone else's is also a transfer. |
| Withdrawal | Any money taken out of your account is considered a withdrawal. |
| Glossary | Account number | Account number |
|---|---|---|
| Definition | Your bank account's unique number. | Your bank account's unique number. |
| Glossary | Available balance | Available balance |
| Definition | This is the money you have available to spend, taking into account any pending payments and excluding any cheques that haven't yet cleared. It also includes any arranged overdraft limit you may have agreed with your banking provider. | This is the money you have available to spend, taking into account any pending payments and excluding any cheques that haven't yet cleared. It also includes any arranged overdraft limit you may have agreed with your banking provider. |
| Glossary | Deposit | Deposit |
| Definition | Money paid into your account is called deposit. | Money paid into your account is called deposit. |
| Glossary | Pending transactions | Pending transactions |
| Definition | These are payments or deposits you've made – for example, with your debit card – that haven't yet been cleared or debited from your account. | These are payments or deposits you've made – for example, with your debit card – that haven't yet been cleared or debited from your account. |
| Glossary | Statement | Statement |
| Definition | Your bank statement shows all the transactions that have taken place over a set period of time. It also shows any interest and fees that have been added to, or deducted from, your account. | Your bank statement shows all the transactions that have taken place over a set period of time. It also shows any interest and fees that have been added to, or deducted from, your account. |
| Glossary | Total Relationship Balance (TRB) | Total Relationship Balance (TRB) |
| Definition | To qualify for HSBC Premier, you must keep a minimum TRB (PDF) of SGD200,000 (or its equivalent in foreign currencies). TRB is made up of an average daily balance for the calendar month, taking into account deposits, investments and/or insurance held in the same name(s) with the Bank. | To qualify for HSBC Premier, you must keep a minimum TRB (PDF) of SGD200,000 (or its equivalent in foreign currencies). TRB is made up of an average daily balance for the calendar month, taking into account deposits, investments and/or insurance held in the same name(s) with the Bank. |
| Glossary | Transfer | Transfer |
| Definition | This is when you send money between two accounts. You might make a transfer between two of your own accounts, for example, from an everyday bank account to a savings account. Moving money from your account to someone else's is also a transfer. | This is when you send money between two accounts. You might make a transfer between two of your own accounts, for example, from an everyday bank account to a savings account. Moving money from your account to someone else's is also a transfer. |
| Glossary | Withdrawal | Withdrawal |
| Definition | Any money taken out of your account is considered a withdrawal. | Any money taken out of your account is considered a withdrawal. |
| Glossary | Definition |
|---|---|
| Arranged and unarranged overdrafts | An arranged overdraft is when you agree with your account provider in advance that you may borrow money when there is no money left in your account. You will agree upon an arranged overdraft limit – which is the maximum amount that can be borrowed. There is an interest you will need to pay on your overdraft, although sometimes overdraft limits may be initially interest-free. An unarranged overdraft is when you borrow money when there is no money left in your account (or when you have exceeded your limit) and this has not been agreed upon in advance with the account provider. |
| Debit card | This is a card you can use to make cash withdrawals from ATMs, and may also be used to pay for goods and services in person, online or over the phone. When you pay with your debit card, the amount of the transaction will be debited from your account. |
| Sort code / Branch code / BSB / routing number | This is a unique code that identifies your bank branch. |
| Glossary | Arranged and unarranged overdrafts | Arranged and unarranged overdrafts |
|---|---|---|
| Definition | An arranged overdraft is when you agree with your account provider in advance that you may borrow money when there is no money left in your account. You will agree upon an arranged overdraft limit – which is the maximum amount that can be borrowed. There is an interest you will need to pay on your overdraft, although sometimes overdraft limits may be initially interest-free. An unarranged overdraft is when you borrow money when there is no money left in your account (or when you have exceeded your limit) and this has not been agreed upon in advance with the account provider. | An arranged overdraft is when you agree with your account provider in advance that you may borrow money when there is no money left in your account. You will agree upon an arranged overdraft limit – which is the maximum amount that can be borrowed. There is an interest you will need to pay on your overdraft, although sometimes overdraft limits may be initially interest-free. An unarranged overdraft is when you borrow money when there is no money left in your account (or when you have exceeded your limit) and this has not been agreed upon in advance with the account provider. |
| Glossary | Debit card | Debit card |
| Definition | This is a card you can use to make cash withdrawals from ATMs, and may also be used to pay for goods and services in person, online or over the phone. When you pay with your debit card, the amount of the transaction will be debited from your account. | This is a card you can use to make cash withdrawals from ATMs, and may also be used to pay for goods and services in person, online or over the phone. When you pay with your debit card, the amount of the transaction will be debited from your account. |
| Glossary | Sort code / Branch code / BSB / routing number | Sort code / Branch code / BSB / routing number |
| Definition | This is a unique code that identifies your bank branch. | This is a unique code that identifies your bank branch. |
| Glossary | Definition |
|---|---|
| Credit and debit | Credit is the amount of money you have available in your bank account. Your account is credited when money is paid into it. Credit is also a term that refers to your borrowing, loans and debt. A debit is money withdrawn from your bank account. It could be a payment you have made, or cash withdrawn at an ATM. When your account is 'in debit', it means it is overdrawn. Your bank statement includes 'credits' and 'debits', which refer to the individual 'money in' and 'money out' transactions that have occurred in given time period. |
| Credit rating/score | A credit rating tells a lender about your credit history and helps them assess how much of a risk lending to you would be. This is also sometimes referred to as a credit score. |
| APR/Comparison Rate | APR (Annual Percentage Rate) or Comparison Rate refers to the combination of interest charged and any additional charges that you will pay on a loan or offer of credit. Lenders must tell you the APR before you sign a credit agreement with them. You can use the APR to compare the real costs of loans from a number of providers. |
| PA | PA (per annum) is the annual interest rate and is generally used for savings and credit accounts. |
| Glossary | Credit and debit | Credit and debit |
|---|---|---|
| Definition |
Credit is the amount of money you have available in your bank account. Your account is credited when money is paid into it. Credit is also a term that refers to your borrowing, loans and debt. A debit is money withdrawn from your bank account. It could be a payment you have made, or cash withdrawn at an ATM. When your account is 'in debit', it means it is overdrawn. Your bank statement includes 'credits' and 'debits', which refer to the individual 'money in' and 'money out' transactions that have occurred in given time period. |
Credit is the amount of money you have available in your bank account. Your account is credited when money is paid into it. Credit is also a term that refers to your borrowing, loans and debt. A debit is money withdrawn from your bank account. It could be a payment you have made, or cash withdrawn at an ATM. When your account is 'in debit', it means it is overdrawn. Your bank statement includes 'credits' and 'debits', which refer to the individual 'money in' and 'money out' transactions that have occurred in given time period. |
| Glossary | Credit rating/score | Credit rating/score |
| Definition | A credit rating tells a lender about your credit history and helps them assess how much of a risk lending to you would be. This is also sometimes referred to as a credit score. | A credit rating tells a lender about your credit history and helps them assess how much of a risk lending to you would be. This is also sometimes referred to as a credit score. |
| Glossary | APR/Comparison Rate | APR/Comparison Rate |
| Definition | APR (Annual Percentage Rate) or Comparison Rate refers to the combination of interest charged and any additional charges that you will pay on a loan or offer of credit. Lenders must tell you the APR before you sign a credit agreement with them. You can use the APR to compare the real costs of loans from a number of providers. | APR (Annual Percentage Rate) or Comparison Rate refers to the combination of interest charged and any additional charges that you will pay on a loan or offer of credit. Lenders must tell you the APR before you sign a credit agreement with them. You can use the APR to compare the real costs of loans from a number of providers. |
| Glossary | PA | PA |
| Definition | PA (per annum) is the annual interest rate and is generally used for savings and credit accounts. | PA (per annum) is the annual interest rate and is generally used for savings and credit accounts. |
| Glossary | Definition |
|---|---|
| Direct Debit | This is when you give a company permission to take money from your bank account on an agreed date. The company can change the amount or date, but they must notify you of the change first. Direct Debits are often used to pay household utility bills like gas or electricity. |
| Payee | This is a company, or person, that you're paying to. |
| Recurring transactions | These are payments you've agreed to, that a business can take from your debit or credit card when needed. These transactions can be difficult to keep track of, because they may vary in both amount and frequency. You have a right to cancel, however, and can switch to a payment method that's easier to manage, like a Direct Debit. |
| Standing order | This is an instruction you give to your bank to make a regular, fixed payment from your bank account. For example, you might set up a standing order to pay your monthly rent. Unlike a Direct Debit, the amount paid by a standing order is fixed and the only person who can change it is you. |
| Glossary | Direct Debit | Direct Debit |
|---|---|---|
| Definition | This is when you give a company permission to take money from your bank account on an agreed date. The company can change the amount or date, but they must notify you of the change first. Direct Debits are often used to pay household utility bills like gas or electricity. | This is when you give a company permission to take money from your bank account on an agreed date. The company can change the amount or date, but they must notify you of the change first. Direct Debits are often used to pay household utility bills like gas or electricity. |
| Glossary | Payee | Payee |
| Definition | This is a company, or person, that you're paying to. | This is a company, or person, that you're paying to. |
| Glossary | Recurring transactions | Recurring transactions |
| Definition | These are payments you've agreed to, that a business can take from your debit or credit card when needed. These transactions can be difficult to keep track of, because they may vary in both amount and frequency. You have a right to cancel, however, and can switch to a payment method that's easier to manage, like a Direct Debit. | These are payments you've agreed to, that a business can take from your debit or credit card when needed. These transactions can be difficult to keep track of, because they may vary in both amount and frequency. You have a right to cancel, however, and can switch to a payment method that's easier to manage, like a Direct Debit. |
| Glossary | Standing order | Standing order |
| Definition | This is an instruction you give to your bank to make a regular, fixed payment from your bank account. For example, you might set up a standing order to pay your monthly rent. Unlike a Direct Debit, the amount paid by a standing order is fixed and the only person who can change it is you. | This is an instruction you give to your bank to make a regular, fixed payment from your bank account. For example, you might set up a standing order to pay your monthly rent. Unlike a Direct Debit, the amount paid by a standing order is fixed and the only person who can change it is you. |
| Glossary | Definition |
|---|---|
| Bonds | Bonds/fixed income instruments are a form of loan to the issuer with various tenors that can go up to 30 years. Depending on market liquidity, you can buy or sell bonds/fixed income instruments at any point in time. These are typically used for income generation, cash flow management, and investment portfolio diversification. |
| Dual Currency Plus | HSBC's Dual Currency Plus (DCP) is an investment product that allows you to invest in two currencies of your choice and enhance your potential returns depending on the foreign exchange movements. |
| Unit trusts | Starting from a small investment sum, unit trusts (or mutual funds) allow you to access a diversified portfolio of securities, bonds, currencies and/or commodities around the world. This is done by pooling your money with other investors for investments to be made by a fund manager. |
| Structured products | Structured products are investment products where the return is linked to an underlying asset with pre-defined features. These features can include tenor, currency, or payout calculation. Underlying assets can be equities, interest rates, commodities, mutual funds and foreign currencies. |
| Equities | Our equity trading platform allows you to take advantage of trading opportunities in stocks, Exchange Traded Funds (ETFs), Real Estate Investment Trusts (REITs) and American Depository Receipts (ADRs) listed in the major markets. |
| Glossary | Bonds | Bonds |
|---|---|---|
| Definition | Bonds/fixed income instruments are a form of loan to the issuer with various tenors that can go up to 30 years. Depending on market liquidity, you can buy or sell bonds/fixed income instruments at any point in time. These are typically used for income generation, cash flow management, and investment portfolio diversification. | Bonds/fixed income instruments are a form of loan to the issuer with various tenors that can go up to 30 years. Depending on market liquidity, you can buy or sell bonds/fixed income instruments at any point in time. These are typically used for income generation, cash flow management, and investment portfolio diversification. |
| Glossary | Dual Currency Plus | Dual Currency Plus |
| Definition | HSBC's Dual Currency Plus (DCP) is an investment product that allows you to invest in two currencies of your choice and enhance your potential returns depending on the foreign exchange movements. | HSBC's Dual Currency Plus (DCP) is an investment product that allows you to invest in two currencies of your choice and enhance your potential returns depending on the foreign exchange movements. |
| Glossary | Unit trusts | Unit trusts |
| Definition | Starting from a small investment sum, unit trusts (or mutual funds) allow you to access a diversified portfolio of securities, bonds, currencies and/or commodities around the world. This is done by pooling your money with other investors for investments to be made by a fund manager. | Starting from a small investment sum, unit trusts (or mutual funds) allow you to access a diversified portfolio of securities, bonds, currencies and/or commodities around the world. This is done by pooling your money with other investors for investments to be made by a fund manager. |
| Glossary | Structured products | Structured products |
| Definition | Structured products are investment products where the return is linked to an underlying asset with pre-defined features. These features can include tenor, currency, or payout calculation. Underlying assets can be equities, interest rates, commodities, mutual funds and foreign currencies. | Structured products are investment products where the return is linked to an underlying asset with pre-defined features. These features can include tenor, currency, or payout calculation. Underlying assets can be equities, interest rates, commodities, mutual funds and foreign currencies. |
| Glossary | Equities | Equities |
| Definition | Our equity trading platform allows you to take advantage of trading opportunities in stocks, Exchange Traded Funds (ETFs), Real Estate Investment Trusts (REITs) and American Depository Receipts (ADRs) listed in the major markets. | Our equity trading platform allows you to take advantage of trading opportunities in stocks, Exchange Traded Funds (ETFs), Real Estate Investment Trusts (REITs) and American Depository Receipts (ADRs) listed in the major markets. |
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